march 2019 | week 12 · 1 22 mar ±¨ ±% bdi 690 t -40 -5.5% bci 251 t -269 -51.7% bpi 1,027 s 144...

1

22 Mar ±∆ ±%BDI 690 q -40 -5.5%

BCI 251 q -269 -51.7%

BPI 1,027 p 144 16.3%

BSI 826 p 40 5.1%

BHSI 455 p 18 4.1%

W-O-W change

Nine months till the IMO 2020 regulation goes live and discussions have intensified,

with most owners having already taken their strategic decision with regards to scrub-

ber or no-scrubber. Yet, the heated debate over the future viability of scrubbers and

fuel alternatives still ranges on.

The number of vessels to be equipped with a scrubber system by the end of the year

is estimated to be somewhere in the region of around 2,000 to 3,000 vessels, which is

but a small share of the global trading fleet. These vessels will continue burning HSFO

after 1st of January 2020 deadline, looking to recoup their investment and gain from

the bunker price spread that will prevail. This spread is expected to rise after 2020, as

HSFO prices are likely to drop as around 3 million bpd of demand switches over to the

compliant fuels. The current average spread between HSFO 380 and MGO is $250

per metric ton, with estimates expressed that this could even double after 2020. From

historical data, we can see that over the last 5 years, the average spread of HSFO and

MGO was $190. Meanwhile, it is worth pointing out that over the past 28 years, the

average spread of the two fuel types was $150 when Brent prices were below $100

per barrel, and $350 when Brent prices were above 100$ per barrel. The price of the

new VLSFO that are gradually being introduced by refineries are expected to range

near those of gasoil prices, with the spread looking possible to reach a range of be-

tween $350-$450 after 2020. Given that the cost of a scrubber sits somewhere be-

tween $2.5 million to $5 million, it is a matter of mathematics if the additional capex

can be justified. Through a very simplified example, with an initial capital outlay of

$4.5 million and assuming that a vessel operates 250 days, burning 60 tons per day,

we can see that in the case of a spread of $100 dollars, the capex is repaid in approxi-

mately 3 years, while with a spread near $400, the repayment is made in less than 1

year.

Those on the non-scrubber camp point out that real life calculations are considerably

more complicated, with factors such as engine efficiency, operational issues gener-

ating extra costs and the cost of handling the extra sludges all playing their part. Add-

ing to this the belief that the spread will not climb to such high levels and that we are

unlikely to see the full amount of the fuel cost savings being passed on to the owners

at these current freight market conditions and the calculations start to become more

marginal. Going beyond these concerns, owners should bear in mind additional future

regulations that could affect their investment plans such as the possibility for the

Mediterranean Sea, Australia and the whole of North America being added to the

SECA zones (Sulphur limit <0.1%). Beyond this we are also seeing initial discussions

for a complete fuel oil ban from the Artic route and talks on the IMO GHG green-

house gas emissions targets to cut emissions by 50% (compared to 2008) by 2050.

Details of these regulations are yet to be defined, though they may lead owners to re-

consider more radical solutions such as using LNG as a fuel as well as other hybrid

solutions. Of course, all these solutions are highly costly and are still at an infant stage

in terms of current port infrastructure and other operational concerns. Yet given

where things are going, it looks as though this will not be the last time owners will be

called upon to take on such a high cost upgrade in order to comply with the ever-

changing regulatory requirements brought upon the shipping industry.

Yiannis Vamvakas

Research Analyst

18th - 22nd March 2019 | Week 12

Dry Bulk Freight Market

Secondhand Market

Newbuilding Market

Demolition Market

Economic Indicators

Tanker Freight Market

22 Mar ±∆ ±%BDTI 695 q -40 -5.4%

BCTI 669 p 63 10.4%

W-O-W change

Avg Price Index (main 5 regions)

22 Mar ±∆ ±%Dry 317 u 0 0.0%

Wet 325 u 0 0.0%

W-O-W change

Aggregate Price Index

22 Mar ±∆ ±%Bulkers 97 u 0 0.0%

Cont 94 u 0 0.0%

Tankers 101 u 0 0.0%

Gas 91 u 0 0.0%

M-O-M change

22 Mar ±∆ ±%Gold $ 1,307 q -8 -0.6%

Oil WTI $ 58 p 4 7.4%

Oil Brent $ 66 p 2 2.8%

Iron Ore 87 q -1 -0.6%

Coal 66 q -9 -11.4%

M-O-M change

Aggregate Price Index

22 Mar ±∆ ±%Capesize 61 u 0 0.0%

Panamax 61 u 0 0.0%

Supramax 64 u 0 0.0%

Handysize 74 u 0 0.0%

M-O-M change

VLCC 94 q 0 -0.5%

Suezmax 87 u 0 0.0%

Aframax 93 u 0 0.0%

MR 114 q -1 -1.1%

2

2018 2019

18th - 22nd March 2019

Capesize – It seems as though we are still stuck on a downward spiral, with the

BCI easing back to 251 basis points, while it fell by a tremendous 51.7% week-on-

week. Looking for the main culprits, it seems as though there were more than one

this past week. At this point, disruptions due to Cyclone Veronica can be seen as

the main source. Things in the Atlantic basin don’t seem to be much better, where

the absence of fresh cargoes have added extra downward pressure on offered

rates. Moving forward, things will heavily depend on how and when the Vale issue

will be resolved, being of main focus before any sort of optimism to returns.

Panamax – A positive week, with the BPI gaining 16.3%, climbing at the same

time to 1,027 basis points. This can be seen as a mere reflection of a robust Atlan-

tic market, while given the stringer tonnage availability, the benchmark Atlantic

RV route increased by 44.7%. With all other main routes showing fair gains, a

good basis was formed for a significant improvement to take shape.

Supramax – A mixed picture was being witnessed in the market these past few

days, though the overall BSI index witnessing an uptick of 5.1% and managed to

finish off the week at 826 basis points. The USG/Skaw showed the biggest in-

crease, while countering part of the ease back seen on the Med/Feast trade.

Handysize – An overall good week here too, with the BHSI increasing slightly (by

4.1%) week-on-week. Moreover, overall sentiment here is showing some positive

signs, given the firm increases in demand that is starting to emerge and the string-

er availability of promptly open tonnage in most regions.

0

10

20

30'000 US$/day

22 Mar 15 Mar ±% 2019 2018

Baltic Dry IndexBDI 690 730 -5.5% 815 1,349

CapesizeBCI 251 520 -51.7% 1,047 2,096

BCI 5TC $ 4,180 $ 6,387 -34.6% $ 9,254 $ 16,457ATLANTIC RV $ 4,400 $ 6,400 -31.3% $ 10,129 $ 16,589

Cont / FEast $ 12,191 $ 16,359 -25.5% $ 21,767 $ 30,755PACIFIC RV $ 4,571 $ 8,117 -43.7% $ 7,759 $ 16,240

FEast / ECSA $ 5,073 $ 5,814 -12.7% $ 9,280 $ 16,315Panamax

BPI 1,027 883 16.3% 864 1,451BPI - TCA $ 8,241 $ 7,108 15.9% $ 6,951 $ 11,641

ATLANTIC RV $ 7,401 $ 5,115 44.7% $ 5,034 $ 12,029Cont / FEast $ 14,805 $ 12,923 14.6% $ 13,125 $ 19,051PACIFIC RV $ 8,128 $ 8,021 1.3% $ 7,269 $ 10,753

FEast / Cont $ 2,631 $ 2,373 10.9% $ 2,375 $ 4,731Supramax

BSI 826 786 5.1% 697 1,030BSI - TCA $ 9,199 $ 8,709 5.6% $ 7,878 $ 11,485

USG / FEast $ 17,642 $ 16,781 5.1% $ 17,055 $ 23,089Med / Feast $ 13,171 $ 14,071 -6.4% $ 14,430 $ 19,519PACIFIC RV $ 9,018 $ 9,036 -0.2% $ 7,903 $ 10,240

FEast / Cont $ 5,270 $ 5,170 1.9% $ 3,920 $ 6,467USG / Skaw $ 13,688 $ 10,281 33.1% $ 10,877 $ 18,607Skaw / USG $ 5,356 $ 5,294 1.2% $ 5,131 $ 8,140

HandysizeBHSI 455 437 4.1% 413 597

BHSI - TCA $ 6,723 $ 6,437 4.4% $ 6,002 $ 8,704Skaw / Rio $ 4,715 $ 4,785 -1.5% $ 5,431 $ 7,558

Skaw / Boston $ 5,354 $ 5,425 -1.3% $ 5,760 $ 7,509Rio / Skaw $ 9,572 $ 8,261 15.9% $ 7,873 $ 11,858

USG / Skaw $ 7,800 $ 7,121 9.5% $ 6,645 $ 10,664SEAsia / Aus / Jap $ 6,693 $ 6,514 2.7% $ 5,620 $ 8,032

PACIFIC RV $ 6,479 $ 6,436 0.7% $ 5,534 $ 7,988

Spot market rates & indices Average

0

1,000

2,000

3,000

4,000

BDI BCI BPI BSI BHSI

0

5

10

15

20'000 US$/day

0

5

10

15'000 US$/day

0

3

6

9

12

15'000 US$/day

3

2018 2019

Crude Oil Carriers – A poor week for the VLCC segment, as declining interest

from Charterers in both the Atlantic and the Pacific basins dragged rates down,

despite some support that was seen from Middle East activity. The same declining

trend was witnessed in the Suezmax front as well, with long tonnage lists in the

Med the and the WAF working in favor of charterers. At the same time, a mixed

picture was seen in the Aframax segment, where a rise was posted in rates of

Med/Black Sea trade due to increased demand, while rates moved downward in

the Baltic/North Sea, with demand on the wane as of late.

Oil Products – Little change was noted in the DPP market last week, with the

Med-USG route remaining on a positive trajectory, while oversupply concerns

continued to dominate the North Europe trade. A very busy start was noted in the

Far East CPP trade, but with things getting fairly quiet during the second half of

the week. Activity remained subdued in the West, with rates moving sideways

compared to the week prior.


22 Mar 15 Mar ±% 2019 2018

Baltic Tanker IndicesBDTI 695 735 -5.4% 835 805BCTI 669 606 10.4% 632 583

VLCCWS 24.36 28.73 -15.2% 26.37 24.20

$/day -$ 3,684 $ 1,086 -439.2% -$ 166 -$ 8,894WS 57.67 60.79 -5.1% 57.89 57.66

$/day $ 30,804 $ 33,426 -7.8% $ 31,789 $ 30,942WS 57.04 60.08 -5.1% 56.99 56.96

$/day $ 27,835 $ 30,516 -8.8% $ 28,771 $ 19,167WS 52.50 57.00 -7.9% 55.48 57.12

$/day $ 49,713 $ 56,222 -11.6% $ 56,031 $ 57,289SUEZMAX

WS 45.00 52.50 -14.3% 71.15 74.28$/day $ 12,546 $ 18,020 -30.4% $ 33,652 $ 35,009

WS 68.22 73.11 -6.7% 96.31 96.08$/day $ 4,486 $ 7,909 -43.3% $ 25,173 $ 17,261

AFRAMAXWS 94.17 117.78 -20.0% 107.70 112.83

$/day $ 6,516 $ 21,910 -70.3% $ 17,227 $ 9,431WS 109.89 95.00 15.7% 104.68 107.15

$/day $ 12,392 $ 7,186 72.4% $ 11,439 $ 6,495WS 95.00 100.31 -5.3% 140.62 134.08

$/day $ 6,588 $ 8,392 -21.5% $ 22,920 $ 12,485WS 75.56 112.50 -32.8% 95.03 90.31

$/day $ 11,045 $ 34,202 -67.7% $ 25,101 $ 13,541DPP

WS 125.00 125.00 0.0% 161.73 131.14$/day $ 21,193 $ 21,065 0.6% $ 34,020 $ 23,505

WS 110.63 112.81 -1.9% 122.06 114.67$/day $ 9,200 $ 9,787 -6.0% $ 13,235 $ 9,614

WS 102.81 95.69 7.4% 102.68 103.44$/day $ 14,185 $ 11,273 25.8% $ 14,688 $ 9,525

WS 96.39 87.92 9.6% 110.80 114.77$/day $ 10,299 $ 6,729 53.1% $ 17,650 $ 11,902

CPPWS 102.19 97.50 4.8% 117.14 106.16

$/day $ 13,020 $ 11,280 15.4% $ 18,005 $ 9,310WS 178.33 164.17 8.6% 137.75 133.64

$/day $ 17,501 $ 14,993 16.7% $ 11,029 $ 5,830WS 125.00 120.00 4.2% 134.47 135.20

$/day $ 16,368 $ 15,038 8.8% $ 19,915 $ 19,126WS 96.07 75.36 27.5% 98.84 103.87

$/day $ 3,233 -$ 453 813.7% $ 4,520 $ 1,952

MED-MED

CONT-USAC

USG-CONT

MEG-USG

MEG-SPORE

WAF-USG

BSEA-MED

MEG-SPORE

MEG-JAPAN

WAF-USAC

NSEA-CONT

CARIBS-USG

CARIBS-USAC

SEASIA-AUS

MEG-JAPAN

CARIBS-USAC

BALTIC-UKC

ARA-USG

Spot market rates & indices Average

0

500

1,000

1,500

BDTI BCTI

-100

1020304050

'000 US$/day

0102030405060

'000 US$/day

0

10

20

30

40

50'000 US$/day

5

10

15

20

25

30'000 US$/day

4

last 5 years

22 Mar 15 Feb ±% Min Avg Max

VLCC

$ 30,750 $ 25,000 23.0% $ 19,000 $ 32,611 $ 57,750

$ 25,750 $ 25,750 0.0% $ 23,500 $ 31,894 $ 45,000

Suezmax

$ 23,000 $ 23,750 -3.2% $ 15,500 $ 24,429 $ 42,500

$ 21,000 $ 21,000 0.0% $ 18,000 $ 25,137 $ 35,000

Aframax

$ 20,250 $ 18,750 8.0% $ 13,250 $ 19,324 $ 30,000

$ 18,000 $ 17,500 2.9% $ 15,500 $ 19,609 $ 27,000

MR

$ 13,750 $ 13,500 1.9% $ 12,000 $ 14,747 $ 21,000

$ 14,500 $ 14,500 0.0% $ 14,000 $ 15,082 $ 18,250

12 months

36 months

12 months

36 months

Tanker period market TC rates

12 months

36 months

12 months

36 months

last 5 years


Capesize

$ 13,250 $ 12,750 3.9% $ 6,200 $ 15,016 $ 31,450

$ 13,250 $ 12,000 10.4% $ 6,950 $ 15,014 $ 25,200

Panamax

$ 11,000 $ 10,000 10.0% $ 4,950 $ 10,132 $ 15,450

$ 10,750 $ 10,500 2.4% $ 6,200 $ 10,496 $ 15,325

Supramax

$ 11,000 $ 10,500 4.8% $ 4,450 $ 9,749 $ 13,950

$ 11,000 $ 10,500 4.8% $ 6,200 $ 9,727 $ 13,700

Handysize

$ 9,500 $ 8,500 11.8% $ 4,450 $ 8,090 $ 11,200

$ 9,750 $ 9,000 8.3% $ 5,450 $ 8,166 $ 10,450

12 months

Dry Bulk period market TC rates

12 months

36 months

36 months

12 months

36 months

12 months

36 months


Latest indicative Dry Bulk Period Fixtures

Latest indicative Tanker Period Fixtures

7

9

11

13

15

17

19

21

23

5

7

9

11

13

15

56789

101112131415

4

5

6

7

8

9

10

11

12

17192123252729313335

15

17

19

21

23

25

12131415161718192021

11

12

13

14

15M/T ''NEW MELODY'', 307000 dwt, built 2019, $30,000, for 1 year trading,

to KOCH

M/T ''BARBAROSA'', 165000 dwt, built 2009, $22,000, for 9 months

trading, to TRAFIGURA

M/T ''BW DESPINA'', 115000 dwt, built 2019, $22,000, for 1 year trading,

to TRAFIGURA

M/T ''GULF CASTLE'', 75000 dwt, built 2009, $15,500, for 1 year trading,

to RUBIS

M/T ''VELEBIT'', 52500 dwt, built 2011, $14,500, for 1 year trading, to

charter not reported

M/V ''JIAN GUO HAI'', 38767 dwt, built 2016, dely S W Pass prompt,

$10,300, for 3/5 months, to Norvic

M/V ''SALT LAKE CITY '', 171809 dwt, built 2005, dely Kandla 13 March ,

$9,750, for 20/23 months, to Cargill

M/V ''OCEAN TIANCHEN'', 63554 dwt, built 2016, dely Tianjin 20/22 Mar,

$11,800, for 3/5 months, to Panocean

M/V ''NORDLOIRE'', 37212 dwt, built 2013, dely Lorient 15/20 Mar,

$10,750, for 3/5 months, to Chart Not Rep

M/V ''MAGIC P'', 76453 dwt, built 2004, dely CJK 07/10 Mar, $11,250, for

5/8 months, 9,000 first 30 days,, to Oldendorff

5

Reported Transactions

Yet another disappointing week for the newbuilding market in terms

of activity, with just a handful of deals coming to light the past few

days. The dry bulk has remained on a sluggish note for some time

now, a mere reflection of the turbulent freight market experienced

recently. Moreover, given the current overall gloomy state, it will

take some time before any sort of balance in terms of flow of new

ordering is restored. On the tanker side, we seem to have had some

slight activity take shape, though most was of little newworthy men-

tion. The main thing holding back the market here, continues to be

the secondhand market, which still provides ample bargain deals

compared to the current newbuilding prices on offer by shipbuilders.

With all that being said, it will be interesting to see how things will

evolve on the pricing front and if we will continue to see a sluggish

pace in activity hold for the near-term or will things start to shift for

the better.


10

20

30

40

50

Capesize Panamax Supramax Handysize

US$ million

30405060708090

100VLCC Suezmax Aframax LR1 MR

US$ million

Indicative Dry NB Prices (US$ million) last 5 years


Dry Bulkers

Capesize (180,000dwt) 51.0 51.0 0.0% 41.8 48.2 58.0

Kamsarmax (82,000dwt) 33.0 33.0 0.0% 24.3 28.0 33.0

Panamax (77,000dwt) 32.0 32.0 0.0% 23.8 27.1 32.0

Ultramax (64,000dwt) 31.0 31.0 0.0% 22.3 25.8 31.0

Handysize (37,000dwt) 26.0 26.0 0.0% 19.5 22.2 26.0

Container

Post Panamax (9,000teu) 82.5 82.5 0.0% 82.5 85.2 91.0

Panamax (5,200teu) 48.5 48.5 0.0% 48.0 52.5 58.5

Sub Panamax (2,500teu) 27.0 27.0 0.0% 26.0 28.9 33.0

Feeder (1,700teu) 21.5 21.5 0.0% 21.5 23.8 27.0

Indicative Wet NB Prices (US$ million) last 5 years


Tankers

VLCC (300,000dwt) 93.0 93.0 0.0% 80.0 90.6 101.0

Suezmax (160,000dwt) 61.5 61.5 0.0% 53.0 60.2 66.0

Aframax (115,000dwt) 51.0 51.0 0.0% 43.0 49.4 55.0

LR1 (75,000dwt) 48.5 48.5 0.0% 42.0 44.9 48.5

MR (56,000dwt) 36.5 36.5 0.0% 32.5 35.2 37.3

Gas

LNG 160k cbm 184.0 184.0 0.0% 184.0 193.4 200.0

LPG LGC 80k cbm 70.0 70.0 0.0% 70.0 73.9 80.0

LPG MGC 55k cbm 62.0 62.0 0.0% 62.0 64.7 68.5

LPG SGC 25k cbm 40.0 40.0 0.0% 40.0 42.4 45.5

Type Units Shipbuilder Price Buyer Delivery Comments

BULKER 4 39,200 dwt Toyohashi Shipbuilding, Japan N/A UNDISCLOSED, Japan 2020

TANKER 1 302,000 dwt JMU, Japan N/A Sun Enterprises, Greece 2021

TANKER 1 1,499 dwt NAKATANI, Japan N/A HANA MARINE, Japan 2020

TANKER 1 1,215 dwt URA KYODO, Japan N/A KYOKUO KAIUN, Japan 2019

CONT 3 2,500 teu HYUNDAI, S. Korea $ 65.0m KMTC, S.Korea 2020

CONT 1 1,000 teu Daesun, S. Korea N/A NAMSUNG SHIPPING, China 2020

CONT 1 1,000 teu Daesun, S. Korea N/A PAN CONTINENTAL, China 2020

GAS 4 180,000 cbmSAMSUNG SHIPBUILDING &

HI, S. Korea$ 193.5m SINOKOR, S. Korea 2022

CRUISE 1 220 paxDAMEN SY MAGNALIA,

NETHERLANDSN/A

SEADREAM YACHT CLUB,

Norway2021

MPP 1 14,000 dwtNIESTERN SANDER,

NETHERLANDSN/A

WAGENBORG SHIPPING,

Netherlands2020

REEFER 1 + 1 20,300 dwt YANTAI CIMC RAFFLES, China $ 65.0m AKER BIOMARINE, Norway 2021

Size

6

Indicative Dry Bulk Values (US$ million)


Capesize180k dwt Resale 52.25 52.25 0.0% 34.5 47.2 65.0180k dwt 5 year old 31.50 31.50 0.0% 23.0 34.0 53.0170k dwt 10 year old 25.00 25.00 0.0% 12.0 22.6 38.0150k dwt 15 year old 15.00 15.00 0.0% 6.5 13.6 25.0Panamax82k dwt Resale 31.50 31.50 0.0% 22.5 28.7 34.082k dwt 5 year old 25.00 25.00 0.0% 11.5 19.8 28.076k dwt 10 year old 14.50 14.50 0.0% 7.3 13.3 23.074k dwt 15 year old 9.00 9.00 0.0% 3.5 8.5 14.5Supramax62k dwt Resale 28.50 28.50 0.0% 19.0 26.7 33.058k dwt 5 year old 17.50 17.50 0.0% 11.0 17.4 27.056k dwt 10 year old 14.00 14.00 0.0% 6.0 12.5 22.052k dwt 15 year old 8.75 8.75 0.0% 3.5 8.0 13.5Handysize37k dwt Resale 24.50 24.50 0.0% 17.0 21.7 26.037k dwt 5 year old 17.50 17.50 0.0% 7.8 14.2 21.032k dwt 10 year old 11.75 11.75 0.0% 6.0 10.0 16.028k dwt 15 year old 7.25 7.25 0.0% 3.5 6.2 11.0

last 5 years


On the dry bulk side, overall activity took a step back in terms of

volume of transactions, though still holding at respectable levels.

Moreover, given the gloomy scene of the freight market as of late,

we may well expect a volatile SnP market to keep hold for the time

being. In addition to this, we can expect the main focus to be sus-

tained for medium size units (Panamaxes and Supramaxes), given

the more robust recovery noted these past few weeks.

On the tanker side, total activity was softer on week-on-week basis,

but still sustained at rather modest levels. Once again, we witnessed

a robust flow from the MR size segment. Notwithstanding this, for

yet another week, we see bigger size segments showing sparks of

life, with buying appetite seemingly on the rise. All-in-all, a healthy

volume of transactions can be anticipated the upcoming weeks,

nourished by the better state of earnings now slowly being noted.

+0%

-7%

-15%

-9%

-18%

-16%

-14%

-12%

-10%

-8%

-6%

-4%

-2%

0%

1 month diff 3 months diff6 months diff 12 months diff

+0%

+9% +9%

+6%

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%


+0%

-5% -5% -5%-6%

-5%

-4%

-3%

-2%

-1%

0%


+0%

+13%

+9%

+17%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%


+0%

+5%

+8%

+9%

0%

1%

2%

3%

4%

5%

6%

7%

8%

9%

10%


+0%

+12% +12%

+16%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%


+0%

+6%

+9%

+13%

0%

2%

4%

6%

8%

10%

12%

14%


+0%

+4%

+8%

+10%

0%

2%

4%

6%

8%

10%

12%


Indicative Tanker Values (US$ million)


VLCC310k dwt Resale 95.00 95.00 0.0% 82.0 93.6 105.0310k dwt 5 year old 70.00 70.00 0.0% 60.0 70.3 84.0250k dwt 10 year old 47.00 47.00 0.0% 38.0 46.9 59.0250k dwt 15 year old 31.00 31.50 -1.6% 21.5 28.7 41.0Suezmax160k dwt Resale 66.00 66.00 0.0% 54.0 63.4 73.0150k dwt 5 year old 50.00 50.00 0.0% 40.0 49.1 62.0150k dwt 10 year old 36.00 36.00 0.0% 25.0 33.4 44.5150k dwt 15 year old 20.50 20.50 0.0% 15.0 19.2 23.0Aframax110k dwt Resale 49.00 49.00 0.0% 43.5 49.7 57.0110k dwt 5 year old 35.00 35.00 0.0% 29.5 36.6 47.5105k dwt 10 year old 23.00 23.00 0.0% 18.0 23.9 33.0105k dwt 15 year old 12.50 12.50 0.0% 11.0 13.9 20.0MR52k dwt Resale 37.50 37.50 0.0% 33.0 36.2 39.052k dwt 5 year old 28.50 28.50 0.0% 23.0 26.3 31.045k dwt 10 year old 18.00 18.00 0.0% 14.5 17.6 21.045k dwt 15 year old 10.50 11.00 -4.5% 9.0 10.9 13.5

last 5 years

7


Size Name Dwt Built Shipbuilder M/E Coating Price Buyers Comments

VLCC C. DREAM 298,570 2000 HITACHI ARIAKE

NAGASU, JapanMAN-B&W

EPOXY

CoatedN/A Far Eastern

SUEZ SCF ALTAI 159,417 2001 HYUNDAI HEAVY

INDUSTRI, S. KoreaMAN-B&W $ 13.5m undisclosed BWTS fitted

AFRA GARDENIA 112,045 2003 HYUNDAI SAMHO,

S. KoreaB&W $ 13.2m Indonesian

AFRA VERMILION ENERGY 106,131 1999 NAMURA IMARI,

JapanSulzer

EPOXY

Coated$ 7.7m Qatari DPP

AFRA VOYAGER C 104,864 2003 SAMSUNG HEAVY,

S. KoreaB&W $ 13.2m Middle Eastern

MR ISOLA BIANCA 50,927 2008 SPP SHBLDG CO

LTD - TO, S. KoreaMAN-B&W

EPOXY

Coated$ 15.5m Greek

MR ALPINE MARIA 49,999 2014

SPP

SHIPBUILDING -

GOS, S. Korea

MAN-B&WEPOXY

PHEN$ 27.0m

MR ALPINE MARY 49,999 2014

SPP

SHIPBUILDING -

GOS, S. Korea

MAN-B&WEPOXY

PHEN$ 27.0m

MR DESERT MARINER 49,992 2018 HYUNDAI

VINASHIN, VietnamMAN-B&W

EPOXY

PHEN$ 32.8m JP Morgan

incl TC attached to Cargill

for 5+1+1 years at US$

14,500/15,000/15,500pd

MR JINAN 40,232 2003 SHIN-A, S. Korea B&WEPOXY

PHEN$ 7.5m

MR DUKHAN 40,231 2003 SHIN-A, S. Korea B&W $ 7.5m

Size Name Dwt Built Shipbuilder M/E Gear Price Buyers Comments

POST

PMAXTATSUKI MARU 91,765 2002

IMABARI

MARUGAME, JapanMitsubishi $ 8.0m Chinese

KMAX PUPPIS OCEAN 81,070 2014 JAPAN MARINE

UTD - TSU, JapanMAN-B&W $ 23.8m Greek - M/Maritime

SS/DD freshly passed,

BWTS fitted

PMAX NORDKAP 77,229 2002 KANASASHI HEAVY

TOYOHA, JapanB&W

4 X 30t

CRANESDD Jul '19, geared

PMAX NORDPOL 77,195 2002 KANASASHI HEAVY

TOYOHA, JapanB&W

4 X 30t

CRANESDD Jun '19, geared

PMAX NAVIOS GALAXY I 74,195 2001 NAMURA IMARI,

JapanB&W $ 6.1m Chinese DD due Jul '19

UMAX ADVENTURE II 62,472 2018

OSHIMA

SHIPBUILDING,

Japan

MAN-B&W4 X 30t

CRANES$ 26.5m undisclosed

SMAX ALMANDIN 56,899 2010 HANTONG SHIP

HEAVY IND, ChinaMAN-B&W

4 X 35t

CRANES$ 9.8m Chinese

HMAX INTREPID 48,913 1999 IHI - TOKYO, Japan Sulzer4 X 25t

CRANES$ 5.5m Chinese

Greek

Tankers

Bulk Carriers

Chinese

$ high

14.0m en

bloc

Greek

8


Size Name Dwt Built Shipbuilder M/E Gear Price Buyers Comments

HANDY ALPINE 37,349 2015 NANJING DONGZE

SHIPYAR, ChinaWartsila

4 X 30t

CRANES

HANDY SUMMIT 37,300 2015 NANJING DONGZE

SHIPYAR, ChinaWartsila

4 X 30t

CRANES

HANDY LONG BRIGHT 37,300 2012

SHANDONG

HUAHAI SHIPYA,

China

Wartsila4 X 30t

CRANESN/A Chinese auction sale

HANDY AMAR MERAY T 28,716 1996 KANASASHI -

TOYOHASHI, JapanMitsubishi

4 X 30,5t

CRANES$ 4.35m Far Eastern DD due Jul '19, logger

Size Name TEU Built Shipbuilder M/E Gear Price Buyers Comments

FEEDER PERTH BRIDGE 1,133 2000 IWAGI, Japan B&W N/ACanadian - Harbour

Link

Size Name Dwt Built Shipbuilder M/E CBM Price Buyers Comments

LNG NORGAS CREATION 10,446 2010

TAIZHOU

WUZHOU

SHBLDG, China

MaK 9,835

LNG NORGAS INVENTION 10,441 2011

TAIZHOU

WUZHOU

SHBLDG, China

MaK 9,847

Dutch$ 41.0m

en bloc

$ 30.0m

en bloc

Containers

Gas Carriers

undisclosed

Bulk Carriers - continued

9

A rather healthy volume of transactions was noted these past few

days in the ship recycling market. For yet another week, we wit-

nessed a stable flow of units sent to the breakers, with the overall

scene in the market showing a fair amount of stability now. In the

Indian Sub-Continent, Bangladeshi breakers continue to hold the

lead as the main ship recycling destination, with buyers there seem-

ingly still holding an insatiable appetite. Indian buyers, are close be-

hind, in pursuit of sustaining their market share for the time being. As

for Pakistani breakers, we seem to still have minimal interest for

competing right now and at current pricing levels, with offered num-

bers still lagging considerably against the rest of the Indian Sub-

Continent. In the Med, Turkish breakers seem to be benefiting from

the stability noted in local steel plate prices, though reported activity

still remains at limited levels. All-in-all, given the current turbulent

dry bulk freight market and relative firm offered scrap price levels,

we may well continue seeing a fair flow of vessels sent to be

beached, while also acting as a relief valve for the current excesses

seen in terms of tonnage supply.


Reported Transactions

150200250300350400450500

Bangladesh India Pakistan China Turkey

US$/ldt

150200250300350400450500

Bangladesh India Pakistan China Turkey

US$/ldt

Indicative Wet Prices ($/ldt) last 5 years

22 Mar 15 Mar ±% Min Avg Max

Indian Sub Continent

Bangladesh 460 460 0.0% 245 394 490

India 445 445 0.0% 250 394 510

Pakistan 430 430 0.0% 245 393 500

Far East Asia

China - - 120 230 350

Mediterranean

Turkey 290 290 0.0% 150 257 355

Indicative Dry Prices ($/ldt) last 5 years

22 Mar 15 Mar ±% Min Avg Max

Indian Sub Continent

Bangladesh 450 450 0.0% 220 375 475

India 435 435 0.0% 225 375 500

Pakistan 420 420 0.0% 220 374 475

Far East Asia

China - - 110 214 340

Mediterranean

Turkey 280 280 0.0% 145 246 355

Type Vessel's Name Dwt Built Country Built Ldt US$/ldt Buyer Sale Comments

Bulker BERGE MANASLU 263,502 1992 Japan 40,157 $ 458/Ldt Bangladeshi 690 FUEL TONS

Bulker ORE GUAIBA 169,147 1999 S. Korea 22,521 $ 450/Ldt Bangladeshi GREEN RECYCLING

Ro-ro VAN IRIS 12,229 1994 Japan 16,062 $ 479/Ldt undisclosed as is Singapore, extra payment for bunkers

G.Cargo WHITE PEARL 39,273 1985 Poland 11,796 $ 443/Ldt Bangladeshi

Cont CLARA MAERSK 25,275 1992 Denmark 8,125 N/A Indian

Cont QUEEN OF LUCK 23,130 1995 Germany 7,164 N/A Bangladeshi

Reefer ZENIT 12,848 1987 Japan 7,152 $ 414/Ldt Indian

Tanker NATALIA 1 6,304 1979 Japan 2,293 N/A Indian

Ferry LIAN GANG HU 48 1994 Australia - N/A Chinese

Offsh FMS LIBERTY 1,125 1983 U. S. A. - N/A other

Offsh ALTUS OPTIMUS 2,128 1985 Norway - N/A undisclosed

10

25

35

45

55

65

75

85

95


US Dollar per Euro Yen per US Dollar

Iron Ore (TSI) Coal Price Index

Yuan per US Dollar US Dollar INDEX

Oil WTI $ Oil Brent $

Norway's Torvald Klaveness has returned to profit for 2018 as mar-

kets improved.

The bulker, boxship and combination carrier player said net earnings

last year were $6m, against a loss of $6.1m in 2017.

It added that the result improved due to "somewhat" better underlying

markets and "a more optimal trading pattern and contract composition

for the combination carriers."

Revenue was down at $317.5m, however, from $326.6m the year

before.

"Torvald Klaveness maintained a high solidity and good liquidity also in

2018," it said.

The company found 2018 an "eventful year", with focus placed on

consolidating the combination carrier activities under one holding

company, Klaveness Combination Carriers (KCC).

These vessels continued to deliver positive results in 2018, contrib-

uting the most to profit. Source: Tradewinds

1.00

1.05

1.10

1.15

1.20

1.25

1.30

100.00

102.00

104.00

106.00

108.00

110.00

112.00

114.00

116.00

6.00

6.20

6.40

6.60

6.80

7.00

7.20

94.00

95.00

96.00

97.00

98.00

99.00

100.00

101.00

102.00

45.00

55.00

65.00

75.00

85.00

95.00

60.00

70.00

80.00

90.00

100.00

110.00

120.00

0.00

10.00

20.00

30.00

40.00

50.00

60.00

70.00

80.00


Markets

10year US Bond 2.46 2.67 -8.1% 0.00 2.88 3.23

S&P 500 2,800.7 2,775.6 0.9% 2,351 2,736 2,931

Nasdaq 7,642.7 7,472.4 2.3% 6,193 7,424 8,110

Dow Jones 25,502.3 25,883.3 -1.5% 21,792 24,996 26,828

FTSE 100 7,207.6 7,236.7 -0.4% 0 7,255 7,877

FTSE All-Share UK 3,942.6 3,954.6 -0.3% 3,596 4,001 4,324

CAC40 5,269.9 5,153.2 2.3% 4,599 5,226 5,640

Xetra Dax 11,364.2 11,299.8 0.6% 10,382 11,915 13,170

Nikkei 21,627.3 20,900.6 3.5% 19,156 21,958 24,271

Hang Seng 29,113.4 27,900.8 4.3% 2,619 28,004 31,541

DJ US Maritime 246.9 255.0 -3.2% 204.5 260.1 306.3

Currencies

$ per € 1.13 1.13 0.4% 1.12 1.16 1.24

$ per ₤ 1.32 1.28 2.7% 1.26 1.32 1.43

₤ per € 0.86 0.88 -2.2% 0.85 0.88 0.91

¥ per $ 110.3 110.5 -0.1% 105.0 110.8 114.1

$ per Au$ 0.71 0.71 -0.2% 0.70 0.73 0.78

$ per NoK 0.12 0.12 1.5% 0.11 0.12 0.13

$ per SFr 0.99 1.01 -1.2% 0.95 0.99 1.01

Yuan per $ 6.71 6.77 -0.9% 6.27 6.70 6.97

Won per $ 1,134.5 1,127.2 0.6% 1,055.0 1,112.1 1,143.5

$ INDEX 96.7 96.9 -0.3% 93.9 97.1 101.4

Commoditites

Gold $ 1,306.5 1,314.3 -0.6% 1,161.4 1,261.5 1,352.4

Oil WTI $ 58.3 54.2 7.4% 44.4 62.4 74.9

Oil Brent $ 66.2 64.4 2.8% 52.5 70.2 84.3

Palm Oil - - - 562.0 562.0 562.0

Iron Ore 86.8 87.4 -0.6% 62.5 71.1 94.2

Coal Price Index 66.0 74.5 -11.4% 66.0 95.5 109.0

White Sugar 335.5 355.0 -5.5% 305.0 339.5 387.1

last 12 months

11

AERAKIS GEORGEMOBILE: +30 6946 04 57 37

BOLIS ILIASMOBILE: +30 6937 02 65 00

DASKALAKIS GEORGEMOBILE: +30 6932 24 80 07

DRAKOGIANNOPOULOS STAVROSMOBILE: +30 6932 20 15 65

DRAKOGIANNOPOULOS SAKISMOBILE: +30 6944 88 58 08

FRANGOS HARRISMOBILE: +30 6936 57 67 00

KLONIZAKIS JOHNMOBILE: +30 6948 50 55 81

KOSTOYANNIS JOHNMOBILE: +30 6932 43 39 99

MANOLAS NIKOLASMOBILE: +30 6940 63 22 56

MOISSOGLOU THEODOROSMOBILE: +30 6932 45 52 41

PAPAIOANNOU ANTONISMOBILE: +30 6936 54 80 22

PAPOUIS THASSOSMOBILE: +30 6944 29 49 89

PRACHALIAS ARGIRISMOBILE: +30 6947 62 82 62

STASSINAKIS JOHNMOBILE: +30 6972 60 92 09

TSALPATOUROS COSTISMOBILE: +30 6932 20 15 63

VARVAROS PLUTONMOBILE: +30 6937 25 15 15

Maritime Research & ValuationsCHASAPIS THOMAS

MOBILE: +30 6947 82 91 72LAZARIDIS GEORGE

MOBILE: +30 6946 95 69 40VAMVAKAS YIANNIS

MOBILE: +30 6942 94 71 87

Sale & Purchase

ALLIED SHIPBROKING INC. 48, Aigialeias Street, 4th Floor, Maroussi 151 25, Greece Tel: +30 210 45 24 500 Fax: +30 210 45 25 017/ 019 E-mail: [email protected]

ALLIED CHARTERING S.A. 48, Aigialeias Street, 4th Floor, Maroussi 151 25, Greece Tel : +30 210 42 88 100 Fax: +30 210 45 24 201

E-mail: [email protected]

E-mail: [email protected]


ALEXOPOULOS PANOS MOBILE: +30 6944 34 66 15

ARGYRI MARINAMOBILE: +30 6983 11 32 98

DAOULAS SPYROS MOBILE: +30 6932 27 88 40

FLOURIS DIMITRISMOBILE: +30 6937 81 32 39

KAILAS VAGGELISMOBILE: +30 6942 48 05 69

KANELLOS DIMITRIS MOBILE: +30 6945 07 47 85

KAPPA ANGELIKI MOBILE: +30 6975 85 60 84

KARAMANIS COSTASMOBILE: +30 6941 54 14 65

PATELIS DIMITRIS MOBILE: +30 6944 04 43 61

THEODOTOS ARISTOFANIS MOBILE: +30 6951 79 82 89

TSALPATOUROU ANASTASIAMOBILE: +30 6951 79 82 91

TSALPATOUROU MARGARITA MOBILE: +30 6934 74 22 16

Tanker CharteringFLOURIS JOHN

MOBILE: +30 6955 80 15 03 PAPANTONOPOULOS NICOLAS

MOBILE: +30 6945 23 21 88

Dry Cargo Chartering

mailto:[email protected]

12

Disclaimer

The information contained within this report has been provided by Allied Shipbroking Inc. and Allied Chartering S.A. for general information

purposes.

All the information is compiled through Allied Shipbroking Inc. and Allied Chartering S.A. databases, as well as from other market sources. De-

spite having taken reasonable care in the gathering, filtering and auditing of this information and believing that the information is accurate and

correct, it may still contain errors, as a lot of the views regarding market levels are partially derived from estimates and/or subject judgments

while the reported transaction activity is gathered from several sources and rumors, some of which are sometimes hard to validate in full their

accuracy and truthfulness. As such we advise that the information be taken cautiously, while advising that this information does not obviate the

need to also make further enquiries and seek further information in order to obtain a more accurate outlook. As we make no warranties of any

kind, both expressed or implied, as to the completeness, accuracy, reliability or completeness of the information herein, Allied Shipbroking Inc.

and its connected persons shall not be held liable to any loss or damage of any kind, including direct, indirect and/or consequential damages

caused by negligence of any kind on our part.

Any choice to rely on this information provided is strictly at the recipient’s own risk.

This report and its information is confidential and solely for the internal use of its recipients, while any re-production or re-distribution of the

report and its material is strictly prohibited without prior permission from Allied Shipbroking Inc.

If you wish to subscribe to this or any other report we produce, please contact us directly.

Appendix

Aggregate Price Index quoted on the first page for both Newbuilding and Secondhand relates to the current average prices levels compared to

where they stood at 1st January 2010 (i.e. index 100 = 01/01/2010)

Demolition market average price index refers to the combination of the average prices currently offered in the Indian Sub-Continent, Far East

and Mediterranean.

Period rates currently relate to Capesize of 180,000dwt, Panamax of 76,000dwt, Supramax of 56,000dwt and Handysize of 33,000dwt on the

Dry Bulk side and VLCC of 250,000dwt, Suezmax of 150,000dwt, Aframax of 115,000dwt and MR of 52,000dwt on the Tankers side respec-

tively.

In terms of Secondhand Asset Prices their levels are quoted based on following description:

All vessels built to European specifications by top Japanese shipbuilders, with dwt size based on the below table.


Resale 5 year old 10 year old 15 year old

Capesize 180,000dwt 180,000dwt 170,000dwt 150,000dwt

Panamax 82,000dwt 82,000dwt 76,000dwt 74,000dwt

Supramax 62,000dwt 58,000dwt 56,000dwt 52,000dwt

Handysize 37,000dwt 32,000dwt 32,000dwt 28,000dwt

VLCC 310,000dwt 310,000dwt 250,000dwt 250,000dwt

Suezmax 160,000dwt 150,000dwt 150,000dwt 150,000dwt

Aframax 110,000dwt 110,000dwt 105,000dwt 95,000dwt

MR 52,000dwt 45,000dwt 45,000dwt 45,000dwt

march 2019 | week 12 · 1 22 mar ±¨ ±% bdi 690 t -40 -5.5% bci 251 t -269 -51.7% bpi 1,027 s 144...

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